PROG Holdings Reports Third Quarter 2024 Results
-
Consolidated revenues of
$606.1 million ; Net earnings of$84.0 million -
Adjusted EBITDA of
$63.5 million -
Diluted EPS of
$1.94 ; Non-GAAP Diluted EPS of$0.77 -
Progressive Leasing GMV of
$456.7 million , 11.6% growth year-over-year - Raises full year consolidated revenue and earnings outlook
"We are pleased to report another strong quarter, highlighted by 11.6% GMV growth and a return to revenue growth in our
Consolidated Results
Consolidated revenues for the third quarter of 2024 were
Consolidated net earnings for the quarter were
Diluted earnings per share for the third quarter of 2024 were
Progressive Leasing Results
Liquidity and Capital Allocation
2024 Outlook
|
Revised 2024 Outlook |
Previous 2024 Outlook |
||||||||||||||
(In thousands, except per share amounts) |
Low |
High |
Low |
High |
||||||||||||
|
|
|
|
|
||||||||||||
|
$ |
2,440,000 |
|
$ |
2,460,000 |
|
$ |
2,400,000 |
|
$ |
2,450,000 |
|
||||
|
|
165,500 |
|
|
170,500 |
|
|
110,500 |
|
|
116,000 |
|
||||
|
|
270,000 |
|
|
275,000 |
|
|
265,000 |
|
|
275,000 |
|
||||
|
|
3.82 |
|
|
3.92 |
|
|
2.52 |
|
|
2.68 |
|
||||
|
|
3.30 |
|
|
3.40 |
|
|
3.25 |
|
|
3.40 |
|
||||
|
|
|
|
|
||||||||||||
|
|
2,350,000 |
|
|
2,360,000 |
|
|
2,325,000 |
|
|
2,355,000 |
|
||||
|
|
180,500 |
|
|
181,500 |
|
|
178,000 |
|
|
182,000 |
|
||||
|
|
277,000 |
|
|
280,000 |
|
|
273,500 |
|
|
278,500 |
|
||||
|
|
|
|
|
||||||||||||
Vive - Total Revenues |
|
60,000 |
|
|
65,000 |
|
|
55,000 |
|
|
65,000 |
|
||||
Vive - Earnings Before Taxes |
|
(500 |
) |
|
500 |
|
|
1,500 |
|
|
3,000 |
|
||||
Vive - Adjusted EBITDA |
|
1,000 |
|
|
2,000 |
|
|
3,000 |
|
|
5,000 |
|
||||
|
|
|
|
|
||||||||||||
Other - Total Revenues |
|
30,000 |
|
|
35,000 |
|
|
20,000 |
|
|
30,000 |
|
||||
Other - Loss Before Taxes |
|
(17,500 |
) |
|
(16,500 |
) |
|
(20,000 |
) |
|
(18,000 |
) |
||||
Other - Adjusted EBITDA |
|
(8,000 |
) |
|
(7,000 |
) |
|
(11,500 |
) |
|
(8,500 |
) |
||||
|
Three Months Ended
|
|||||
(In thousands, except per share amounts) |
Low |
High |
||||
|
|
|
||||
|
$ |
599,824 |
$ |
619,824 |
||
|
|
25,798 |
|
30,798 |
||
|
|
61,654 |
|
66,654 |
||
|
|
0.62 |
|
0.73 |
||
|
|
0.70 |
|
0.80 |
Conference Call and Webcast
The Company has scheduled a live webcast and conference call for
About
Forward Looking Statements:
Statements in this news release regarding our business that are not historical facts are "forward-looking statements" that involve risks and uncertainties which could cause actual results to differ materially from those contained in the forward-looking statements. Such forward-looking statements generally can be identified by the use of forward-looking terminology, such as "planned", "expectation", "outlook", "continuation", and similar forward-looking terminology. These risks and uncertainties include factors such as (i) continued volatility and challenges in the macro environment and, in particular, the unfavorable effects on our business of significant inflation, elevated interest rates, and fears of a recession, and the impact of those headwinds on: (a) consumer confidence and customer demand for the merchandise that our POS partners sell, in particular consumer durables; (b) our customers’ disposable income and their ability to make the lease and loan payments they owe the Company; (c) the availability of consumer credit; and (d) our overall financial performance and outlook; (ii) our businesses being subject to extensive laws and regulations, including laws and regulations unique to the industries in which our businesses operate, that may subject them to government investigations and significant monetary penalties and compliance-related burdens, as well as an increased focus by federal, state and local regulators on the industries within which our businesses operate, including with respect to consumer protection, customer privacy, third party and employee fraud and information security; (iii) deteriorating macroeconomic conditions resulting in the algorithms and other proprietary decisioning tools used in approving
|
||||||||||||||||
Consolidated Statements of Earnings |
||||||||||||||||
(In thousands, except per share data) |
||||||||||||||||
|
(Unaudited) Three Months Ended |
(Unaudited) Nine Months Ended |
||||||||||||||
|
|
|
||||||||||||||
|
2024 |
2023 |
2024 |
2023 |
||||||||||||
REVENUES: |
|
|
|
|
||||||||||||
Lease Revenues and Fees |
$ |
582,551 |
|
$ |
564,183 |
|
$ |
1,773,617 |
|
$ |
1,776,104 |
|
||||
Interest and Fees on Loans Receivable |
|
23,594 |
|
|
18,694 |
|
|
66,559 |
|
|
54,759 |
|
||||
|
|
606,145 |
|
|
582,877 |
|
|
1,840,176 |
|
|
1,830,863 |
|
||||
COSTS AND EXPENSES: |
|
|
|
|
||||||||||||
Depreciation of Lease Merchandise |
|
401,070 |
|
|
381,844 |
|
|
1,217,440 |
|
|
1,202,157 |
|
||||
Provision for Lease Merchandise Write-offs |
|
44,736 |
|
|
36,966 |
|
|
131,660 |
|
|
116,295 |
|
||||
Operating Expenses |
|
111,108 |
|
|
109,183 |
|
|
346,350 |
|
|
322,152 |
|
||||
|
|
556,914 |
|
|
527,993 |
|
|
1,695,450 |
|
|
1,640,604 |
|
||||
OPERATING PROFIT |
|
49,231 |
|
|
54,884 |
|
|
144,726 |
|
|
190,259 |
|
||||
Interest Expense, Net |
|
(7,384 |
) |
|
(6,775 |
) |
|
(22,973 |
) |
|
(22,549 |
) |
||||
EARNINGS BEFORE INCOME TAX (BENEFIT) EXPENSE |
|
41,847 |
|
|
48,109 |
|
|
121,753 |
|
|
167,710 |
|
||||
INCOME TAX (BENEFIT) EXPENSE |
|
(42,115 |
) |
|
13,097 |
|
|
(17,949 |
) |
|
47,447 |
|
||||
NET EARNINGS |
$ |
83,962 |
|
$ |
35,012 |
|
$ |
139,702 |
|
$ |
120,263 |
|
||||
EARNINGS PER SHARE |
|
|
|
|
||||||||||||
Basic |
$ |
1.99 |
|
$ |
0.77 |
|
$ |
3.25 |
|
$ |
2.58 |
|
||||
Assuming Dilution |
$ |
1.94 |
|
$ |
0.76 |
|
$ |
3.19 |
|
$ |
2.56 |
|
||||
CASH DIVIDENDS DECLARED PER SHARE: |
|
|
|
|
||||||||||||
Common Stock |
$ |
0.12 |
|
$ |
— |
|
$ |
0.36 |
|
$ |
— |
|
||||
WEIGHTED AVERAGE SHARES OUTSTANDING: |
|
|
|
|
||||||||||||
Basic |
|
42,264 |
|
|
45,515 |
|
|
42,969 |
|
|
46,606 |
|
||||
Assuming Dilution |
|
43,169 |
|
|
46,133 |
|
|
43,804 |
|
|
47,048 |
|
||||
|
||||||||
Consolidated Balance Sheets |
||||||||
(In thousands, except share data) |
||||||||
|
(Unaudited) |
|
||||||
|
|
|
||||||
ASSETS: |
|
|
||||||
Cash and Cash Equivalents |
$ |
221,726 |
|
$ |
155,416 |
|
||
Accounts Receivable (net of allowances of |
|
67,214 |
|
|
67,879 |
|
||
Lease Merchandise (net of accumulated depreciation and allowances of |
|
554,425 |
|
|
633,427 |
|
||
Loans Receivable (net of allowances and unamortized fees of |
|
121,568 |
|
|
126,823 |
|
||
Property and Equipment, Net |
|
21,404 |
|
|
24,104 |
|
||
Operating Lease Right-of-Use Assets |
|
3,753 |
|
|
9,271 |
|
||
|
|
296,061 |
|
|
296,061 |
|
||
Other Intangibles, Net |
|
77,775 |
|
|
91,664 |
|
||
Income Tax Receivable |
|
10,921 |
|
|
32,918 |
|
||
Deferred Income Tax Assets |
|
2,368 |
|
|
2,981 |
|
||
Prepaid Expenses and Other Assets |
|
69,125 |
|
|
50,711 |
|
||
Total Assets |
$ |
1,446,340 |
|
$ |
1,491,255 |
|
||
LIABILITIES & SHAREHOLDERS’ EQUITY: |
|
|
||||||
Accounts Payable and Accrued Expenses |
$ |
95,138 |
|
$ |
151,259 |
|
||
Deferred Income Tax Liabilities |
|
81,716 |
|
|
104,838 |
|
||
Customer Deposits and Advance Payments |
|
33,200 |
|
|
35,713 |
|
||
Operating Lease Liabilities |
|
12,241 |
|
|
15,849 |
|
||
Debt |
|
593,238 |
|
|
592,265 |
|
||
Total Liabilities |
|
815,533 |
|
|
899,924 |
|
||
SHAREHOLDERS' EQUITY: |
|
|
||||||
Common Stock, Par Value |
|
41,039 |
|
|
41,039 |
|
||
|
|
354,141 |
|
|
352,421 |
|
||
Retained Earnings |
|
1,416,961 |
|
|
1,293,073 |
|
||
|
|
1,812,141 |
|
|
1,686,533 |
|
||
Less: Treasury Shares at Cost |
|
|
||||||
Common Stock: 40,535,248 Shares at |
|
(1,181,334 |
) |
|
(1,095,202 |
) |
||
Total Shareholders’ Equity |
|
630,807 |
|
|
591,331 |
|
||
Total Liabilities & Shareholders’ Equity |
$ |
1,446,340 |
|
$ |
1,491,255 |
|
||
|
||||||||
Consolidated Statements of Cash Flows |
||||||||
(In thousands) |
||||||||
|
(Unaudited) |
|||||||
|
Nine Months Ended September
|
|||||||
|
2024 |
2023 |
||||||
OPERATING ACTIVITIES: |
|
|
||||||
Net Earnings |
$ |
139,702 |
|
$ |
120,263 |
|
||
Adjustments to Reconcile Net Earnings to Cash Provided by Operating Activities: |
|
|
||||||
Depreciation of Lease Merchandise |
|
1,217,440 |
|
|
1,202,157 |
|
||
Other Depreciation and Amortization |
|
20,780 |
|
|
23,876 |
|
||
Provisions for Accounts Receivable and Loan Losses |
|
279,291 |
|
|
253,217 |
|
||
Stock-Based Compensation |
|
21,588 |
|
|
19,081 |
|
||
Deferred Income Taxes |
|
(24,530 |
) |
|
(32,337 |
) |
||
Impairment of Assets |
|
6,018 |
|
|
— |
|
||
Income Tax Benefit from Reversal of Uncertain Tax Position Liabilities |
|
(51,443 |
) |
|
— |
|
||
Non-Cash Lease Expense |
|
(2,605 |
) |
|
(2,065 |
) |
||
Other Changes, Net |
|
(1,255 |
) |
|
(4,397 |
) |
||
Changes in Operating Assets and Liabilities: |
|
|
||||||
Additions to Lease Merchandise |
|
(1,273,535 |
) |
|
(1,195,051 |
) |
||
Book Value of Lease Merchandise Sold or Disposed |
|
135,096 |
|
|
119,711 |
|
||
Accounts Receivable |
|
(240,409 |
) |
|
(216,469 |
) |
||
Prepaid Expenses and Other Assets |
|
(18,865 |
) |
|
2,304 |
|
||
Income Tax Receivable and Payable |
|
26,251 |
|
|
(21 |
) |
||
Accounts Payable and Accrued Expenses |
|
(7,998 |
) |
|
8,735 |
|
||
Customer Deposits and Advance Payments |
|
(2,513 |
) |
|
(6,463 |
) |
||
Cash Provided by Operating Activities |
|
223,013 |
|
|
292,541 |
|
||
INVESTING ACTIVITIES: |
|
|
||||||
Investments in Loans Receivable |
|
(282,039 |
) |
|
(138,922 |
) |
||
Proceeds from Loans Receivable |
|
252,268 |
|
|
127,079 |
|
||
Outflows on Purchases of Property and Equipment |
|
(6,037 |
) |
|
(6,952 |
) |
||
Proceeds from Property and Equipment |
|
119 |
|
|
30 |
|
||
Other Proceeds |
|
41 |
|
|
— |
|
||
Cash Used in Investing Activities |
|
(35,648 |
) |
|
(18,765 |
) |
||
FINANCING ACTIVITIES: |
|
|
||||||
Dividends Paid |
|
(15,423 |
) |
|
— |
|
||
Acquisition of Treasury Stock |
|
(98,187 |
) |
|
(108,276 |
) |
||
Issuance of Stock Under Stock Option and Employee Purchase Plans |
|
855 |
|
|
695 |
|
||
Cash Paid for Shares Withheld for Employee Taxes |
|
(8,300 |
) |
|
(3,260 |
) |
||
Debt Issuance Costs |
|
— |
|
|
(29 |
) |
||
Cash Used in Financing Activities |
|
(121,055 |
) |
|
(110,870 |
) |
||
Increase in Cash and Cash Equivalents |
|
66,310 |
|
|
162,906 |
|
||
Cash and Cash Equivalents at Beginning of Period |
|
155,416 |
|
|
131,880 |
|
||
Cash and Cash Equivalents at End of Period |
$ |
221,726 |
|
$ |
294,786 |
|
||
Net Cash Paid During the Period: |
|
|
||||||
Interest |
$ |
18,695 |
|
$ |
18,768 |
|
||
Income Taxes |
$ |
31,809 |
|
$ |
76,817 |
|
||
|
||||||||||||
Quarterly Revenues by Segment |
||||||||||||
(In thousands) |
||||||||||||
|
(Unaudited) |
|||||||||||
|
Three Months Ended |
|||||||||||
|
|
|||||||||||
|
|
Vive |
Other |
Consolidated Total |
||||||||
Lease Revenues and Fees |
$ |
582,551 |
$ |
— |
$ |
— |
$ |
582,551 |
||||
Interest and Fees on Loans Receivable |
|
— |
|
16,000 |
|
7,594 |
|
23,594 |
||||
Total Revenues |
$ |
582,551 |
$ |
16,000 |
$ |
7,594 |
$ |
606,145 |
||||
|
(Unaudited) |
|||||||||||
|
Three Months Ended |
|||||||||||
|
|
|||||||||||
|
|
Vive |
Other |
Consolidated Total |
||||||||
Lease Revenues and Fees |
$ |
564,183 |
$ |
— |
$ |
— |
$ |
564,183 |
||||
Interest and Fees on Loans Receivable |
|
— |
|
17,547 |
|
1,147 |
|
18,694 |
||||
Total Revenues |
$ |
564,183 |
$ |
17,547 |
$ |
1,147 |
$ |
582,877 |
||||
|
||||||||||||
Nine Months Revenues by Segment |
||||||||||||
(In thousands) |
||||||||||||
|
(Unaudited) |
|||||||||||
|
Nine Months Ended |
|||||||||||
|
|
|||||||||||
|
|
Vive |
Other |
Consolidated Total |
||||||||
Lease Revenues and Fees |
$ |
1,773,617 |
$ |
— |
$ |
— |
$ |
1,773,617 |
||||
Interest and Fees on Loans Receivable |
|
— |
|
47,471 |
|
19,088 |
|
66,559 |
||||
Total Revenues |
$ |
1,773,617 |
$ |
47,471 |
$ |
19,088 |
$ |
1,840,176 |
||||
|
(Unaudited) |
|||||||||||
|
Nine Months Ended |
|||||||||||
|
|
|||||||||||
|
|
Vive |
Other |
Consolidated Total |
||||||||
Lease Revenues and Fees |
$ |
1,776,104 |
$ |
— |
$ |
— |
$ |
1,776,104 |
||||
Interest and Fees on Loans Receivable |
|
— |
|
51,887 |
|
2,872 |
|
54,759 |
||||
Total Revenues |
$ |
1,776,104 |
$ |
51,887 |
$ |
2,872 |
$ |
1,830,863 |
||||
|
||||||
Gross Merchandise Volume by Quarter |
||||||
(In thousands) |
||||||
|
(Unaudited) |
|||||
|
Three Months Ended September
|
|||||
|
2024 |
2023 |
||||
|
$ |
456,651 |
$ |
409,169 |
||
Vive |
|
38,755 |
|
35,243 |
||
Other |
|
62,058 |
|
19,632 |
||
Total GMV |
$ |
557,464 |
$ |
464,044 |
Use of Non-GAAP Financial Information:
Non-GAAP net earnings, non-GAAP diluted earnings per share, and adjusted EBITDA are supplemental measures of our performance that are not calculated in accordance with generally accepted accounting principles in
The Adjusted EBITDA figures presented in this press release are calculated as the Company’s earnings before interest expense, net, depreciation on property and equipment, amortization of intangible assets and income taxes. Adjusted EBITDA for the three and nine months ended
Management believes that non-GAAP net earnings, non-GAAP diluted earnings per share, and adjusted EBITDA provide relevant and useful information, and are widely used by analysts, investors and competitors in our industry as well as by our management in assessing both consolidated and business unit performance.
Non-GAAP net earnings, non-GAAP diluted earnings, and adjusted EBITDA provide management and investors with an understanding of the results from the primary operations of our business by excluding the effects of certain items that generally arose from larger, one-time transactions that are not reflective of the ordinary earnings activity of our operations or transactions that have variability and volatility of the amount. We believe the exclusion of stock-based compensation expense provides for a better comparison of our operating results with our peer companies as the calculations of stock-based compensation vary from period to period and company to company due to different valuation methodologies, subjective assumptions and the variety of award types. This measure may be useful to an investor in evaluating the underlying operating performance of our business.
Adjusted EBITDA also provides management and investors with an understanding of one aspect of earnings before the impact of investing and financing charges and income taxes. These measures may be useful to an investor in evaluating our operating performance because the measures:
- Are widely used by investors to measure a company’s operating performance without regard to items excluded from the calculation of such measure, which can vary substantially from company to company depending upon accounting methods, book value of assets, capital structure and the method by which assets were acquired, among other factors.
- Are used by rating agencies, lenders and other parties to evaluate our creditworthiness.
- Are used by our management for various purposes, including as a measure of performance of our operating entities and as a basis for strategic planning and forecasting.
Non-GAAP financial measures, however, should not be used as a substitute for, or considered superior to, measures of financial performance prepared in accordance with GAAP, such as the Company’s GAAP basis net earnings and diluted earnings per share and the GAAP revenues and earnings before income taxes of the Company’s segments, which are also presented in the press release. Further, we caution investors that amounts presented in accordance with our definitions of non-GAAP net earnings, non-GAAP diluted earnings per share, and adjusted EBITDA may not be comparable to similar measures disclosed by other companies, because not all companies and analysts calculate these measures in the same manner.
|
||||||||||||||||
Reconciliation of Net Earnings and Earnings Per Share Assuming Dilution to Non-GAAP Net Earnings and Earnings Per Share Assuming Dilution |
||||||||||||||||
(In thousands, except per share amounts) |
||||||||||||||||
|
(Unaudited) |
(Unaudited) |
||||||||||||||
|
Three Months Ended |
Nine Months Ended |
||||||||||||||
|
|
|
||||||||||||||
|
2024 |
2023 |
2024 |
2023 |
||||||||||||
Net Earnings |
$ |
83,962 |
|
$ |
35,012 |
|
$ |
139,702 |
|
$ |
120,263 |
|
||||
Add: Intangible Amortization Expense |
|
4,000 |
|
|
5,650 |
|
|
13,889 |
|
|
17,097 |
|
||||
Add: Restructuring Expense |
|
6 |
|
|
238 |
|
|
20,906 |
|
|
1,958 |
|
||||
Add: Costs Related to the Cybersecurity Incident, Net of Insurance Recoveries |
|
114 |
|
|
1,805 |
|
|
346 |
|
|
1,805 |
|
||||
Less: Regulatory Insurance Recoveries |
|
— |
|
|
— |
|
|
— |
|
|
(525 |
) |
||||
Less: Tax Impact of Adjustments(1) |
|
(1,071 |
) |
|
(2,000 |
) |
|
(9,138 |
) |
|
(5,287 |
) |
||||
Less: Reversal of Uncertain Tax Position |
|
(53,599 |
) |
|
— |
|
|
(53,599 |
) |
|
— |
|
||||
Add: Accrued Interest on Uncertain Tax Position |
|
— |
|
|
971 |
|
|
2,156 |
|
|
2,911 |
|
||||
Non-GAAP Net Earnings |
$ |
33,412 |
|
$ |
41,676 |
|
$ |
114,262 |
|
$ |
138,222 |
|
||||
Earnings Per Share Assuming Dilution |
$ |
1.94 |
|
$ |
0.76 |
|
$ |
3.19 |
|
$ |
2.56 |
|
||||
Add: Intangible Amortization Expense |
|
0.09 |
|
|
0.12 |
|
|
0.32 |
|
|
0.36 |
|
||||
Add: Restructuring Expense |
|
— |
|
|
0.01 |
|
|
0.48 |
|
|
0.04 |
|
||||
Add: Costs Related to the Cybersecurity Incident, Net of Insurance Recoveries |
|
— |
|
|
0.04 |
|
|
0.01 |
|
|
0.04 |
|
||||
Less: Regulatory Insurance Recoveries |
|
— |
|
|
— |
|
|
— |
|
|
(0.01 |
) |
||||
Less: Tax Impact of Adjustments(1) |
|
(0.02 |
) |
|
(0.04 |
) |
|
(0.21 |
) |
|
(0.11 |
) |
||||
Less: Reversal of Uncertain Tax Position |
|
(1.24 |
) |
|
— |
|
|
(1.22 |
) |
|
— |
|
||||
Add: Accrued Interest on Uncertain Tax Position |
|
— |
|
|
0.02 |
|
|
0.05 |
|
|
0.06 |
|
||||
Non-GAAP Earnings Per Share Assuming Dilution(2) |
$ |
0.77 |
|
$ |
0.90 |
|
$ |
2.61 |
|
$ |
2.94 |
|
||||
Weighted Average Shares Outstanding Assuming Dilution |
|
43,169 |
|
|
46,133 |
|
|
43,804 |
|
|
47,048 |
|
||||
(1) |
Adjustments are tax-effected using an assumed statutory tax rate of 26%. |
|
(2) |
In some cases, the sum of individual EPS amounts may not equal total non-GAAP EPS calculations due to rounding. |
|
|
|||||||||||||||
Non-GAAP Financial Information |
|||||||||||||||
Quarterly Segment EBITDA |
|||||||||||||||
(In thousands) |
|||||||||||||||
|
(Unaudited) |
||||||||||||||
|
Three Months Ended |
||||||||||||||
|
|
||||||||||||||
|
|
Vive |
Other |
Consolidated Total |
|||||||||||
Net Earnings |
|
|
|
$ |
83,962 |
|
|||||||||
Income Tax (Benefit) Expense(1) |
|
|
|
|
(42,115 |
) |
|||||||||
Earnings (Loss) Before Income Tax (Benefit) Expense |
$ |
47,177 |
$ |
(1,441 |
) |
$ |
(3,889 |
) |
|
41,847 |
|
||||
Interest Expense, Net |
|
7,700 |
|
— |
|
|
(316 |
) |
|
7,384 |
|
||||
Depreciation |
|
1,619 |
|
155 |
|
|
491 |
|
|
2,265 |
|
||||
Amortization |
|
3,771 |
|
— |
|
|
229 |
|
|
4,000 |
|
||||
EBITDA |
|
60,267 |
|
(1,286 |
) |
|
(3,485 |
) |
|
55,496 |
|
||||
Stock-Based Compensation |
|
6,059 |
|
354 |
|
|
1,438 |
|
|
7,851 |
|
||||
Restructuring Expense |
|
6 |
|
— |
|
|
— |
|
|
6 |
|
||||
Costs Related to the Cybersecurity Incident, Net of Insurance Recoveries |
|
114 |
|
— |
|
|
— |
|
|
114 |
|
||||
Adjusted EBITDA |
$ |
66,446 |
$ |
(932 |
) |
$ |
(2,047 |
) |
$ |
63,467 |
|
||||
(1) |
Taxes are calculated on a consolidated basis and are not identifiable by Company segment. |
|
|
(Unaudited) |
||||||||||||
|
Three Months Ended |
||||||||||||
|
|
||||||||||||
|
|
Vive |
Other |
Consolidated Total |
|||||||||
Net Earnings |
|
|
|
$ |
35,012 |
||||||||
Income Tax Expense(1) |
|
|
|
|
13,097 |
||||||||
Earnings (Loss) Before Income Tax Expense |
$ |
53,941 |
$ |
565 |
$ |
(6,397 |
) |
|
48,109 |
||||
Interest Expense, Net |
|
6,746 |
|
112 |
|
(83 |
) |
|
6,775 |
||||
Depreciation |
|
1,841 |
|
184 |
|
307 |
|
|
2,332 |
||||
Amortization |
|
5,420 |
|
— |
|
230 |
|
|
5,650 |
||||
EBITDA |
|
67,948 |
|
861 |
|
(5,943 |
) |
|
62,866 |
||||
Stock-Based Compensation |
|
4,851 |
|
302 |
|
1,668 |
|
|
6,821 |
||||
Restructuring Expense |
|
238 |
|
— |
|
— |
|
|
238 |
||||
Costs Related to the Cybersecurity Incident |
|
1,805 |
|
— |
|
— |
|
|
1,805 |
||||
Adjusted EBITDA |
$ |
74,842 |
$ |
1,163 |
$ |
(4,275 |
) |
$ |
71,730 |
||||
(1) |
Taxes are calculated on a consolidated basis and are not identifiable by Company segment. |
|
|
||||||||||||||
Non-GAAP Financial Information |
||||||||||||||
Nine Month Segment EBITDA |
||||||||||||||
(In thousands) |
||||||||||||||
|
(Unaudited) |
|||||||||||||
|
Nine Months Ended |
|||||||||||||
|
|
|||||||||||||
|
|
Vive |
Other |
Consolidated Total |
||||||||||
Net Earnings |
|
|
|
$ |
139,702 |
|
||||||||
Income Tax (Benefit) Expense(1) |
|
|
|
|
(17,949 |
) |
||||||||
Earnings (Loss) Before Income Tax (Benefit) Expense |
$ |
136,596 |
$ |
108 |
$ |
(14,951 |
) |
|
121,753 |
|
||||
Interest Expense, Net |
|
23,922 |
|
— |
|
(949 |
) |
|
22,973 |
|
||||
Depreciation |
|
5,080 |
|
487 |
|
1,324 |
|
|
6,891 |
|
||||
Amortization |
|
13,201 |
|
— |
|
688 |
|
|
13,889 |
|
||||
EBITDA |
|
178,799 |
|
595 |
|
(13,888 |
) |
|
165,506 |
|
||||
Stock-Based Compensation |
|
16,905 |
|
1,052 |
|
3,631 |
|
|
21,588 |
|
||||
Restructuring Expense |
|
18,278 |
|
— |
|
2,628 |
|
|
20,906 |
|
||||
Costs Related to the Cybersecurity Incident, Net of Insurance Recoveries |
|
346 |
|
— |
|
— |
|
|
346 |
|
||||
Adjusted EBITDA |
$ |
214,328 |
$ |
1,647 |
$ |
(7,629 |
) |
$ |
208,346 |
|
||||
(1) |
Taxes are calculated on a consolidated basis and are not identifiable by Company segment. |
|
|
(Unaudited) |
||||||||||||||
|
Nine Months Ended |
||||||||||||||
|
|
||||||||||||||
|
|
Vive |
Other |
Consolidated Total |
|||||||||||
Net Earnings |
|
|
|
$ |
120,263 |
|
|||||||||
Income Tax Expense(1) |
|
|
|
|
47,447 |
|
|||||||||
Earnings (Loss) Before Income Tax Expense |
$ |
180,414 |
|
$ |
4,486 |
$ |
(17,190 |
) |
|
167,710 |
|
||||
Interest Expense, Net |
|
22,063 |
|
|
569 |
|
(83 |
) |
|
22,549 |
|
||||
Depreciation |
|
5,541 |
|
|
534 |
|
705 |
|
|
6,780 |
|
||||
Amortization |
|
16,262 |
|
|
— |
|
835 |
|
|
17,097 |
|
||||
EBITDA |
|
224,280 |
|
|
5,589 |
|
(15,733 |
) |
|
214,136 |
|
||||
Stock-Based Compensation |
|
13,303 |
|
|
884 |
|
4,894 |
|
|
19,081 |
|
||||
Restructuring Expense |
|
1,958 |
|
|
— |
|
— |
|
|
1,958 |
|
||||
Regulatory Insurance Recoveries |
|
(525 |
) |
|
— |
|
— |
|
|
(525 |
) |
||||
Costs Related to the Cybersecurity Incident |
|
1,805 |
|
|
— |
|
— |
|
|
1,805 |
|
||||
Adjusted EBITDA |
$ |
240,821 |
|
$ |
6,473 |
$ |
(10,839 |
) |
$ |
236,455 |
|
(1) |
Taxes are calculated on a consolidated basis and are not identifiable by Company segment. |
|
|
|||||||||
Non-GAAP Financial Information |
|||||||||
Reconciliation of Revised Full Year 2024 Outlook for Adjusted EBITDA |
|||||||||
(In thousands) |
|||||||||
|
Fiscal Year 2024 Ranges |
||||||||
|
|
Vive |
Other |
Consolidated Total |
|||||
Estimated Net Earnings |
|
|
|
|
|||||
Income Tax (Benefit) Expense(1) |
|
|
|
(3,000) - (5,000) |
|||||
Projected Earnings (Loss) Before Income Tax (Benefit) Expense |
|
|
|
162,500 - 165,500 |
|||||
Interest Expense, Net |
32,000 - 33,000 |
— |
(1,000 |
) |
31,000 - 32,000 |
||||
Depreciation |
7,000 |
500 |
2,000 |
|
9,500 |
||||
Amortization |
17,000 |
— |
1,000 |
|
18,000 |
||||
Projected EBITDA |
236,500 - 238,500 |
0 - 1,000 |
(15,500) - (14,500) |
221,000 - 225,000 |
|||||
Stock-Based Compensation |
22,000 - 23,000 |
1,000 |
5,000 |
|
28,000 - 29,000 |
||||
Restructuring Expense & Cyber Incident Costs, Net of Insurance Recoveries |
18,500 |
— |
2,500 |
|
21,000 |
||||
Projected Adjusted EBITDA |
|
|
|
|
|||||
(1) |
Taxes are calculated on a consolidated basis and are not identifiable by Company segment. |
|
|
|||||||||
Non-GAAP Financial Information |
|||||||||
Reconciliation of Previously Revised Full Year 2024 Outlook for Adjusted EBITDA |
|||||||||
(In thousands) |
|||||||||
|
Fiscal Year 2024 Ranges |
||||||||
|
|
Vive |
Other |
Consolidated Total |
|||||
Estimated Net Earnings |
|
|
|
|
|||||
Income Tax Expense(1) |
|
|
|
49,000 - 51,000 |
|||||
Projected Earnings (Loss) Before Income Tax Expense |
|
|
|
159,500 - 167,000 |
|||||
Interest Expense, Net |
31,000 |
— |
(1,000 |
) |
30,000 |
||||
Depreciation |
7,000 |
500 |
2,000 |
|
9,500 |
||||
Amortization |
17,000 |
— |
1,000 |
|
18,000 |
||||
Projected EBITDA |
233,000 - 237,000 |
2,000 - 3,500 |
(18,000) - (16,000) |
217,000 - 224,500 |
|||||
Stock-Based Compensation |
22,000 - 23,000 |
1,000 - 1,500 |
4,000 - 5,000 |
27,000 - 29,500 |
|||||
Restructuring Expense & Cyber Incident Costs, Net of Insurance Recoveries |
18,500 |
— |
2,500 |
|
21,000 |
||||
Projected Adjusted EBITDA |
|
|
|
|
|||||
(1) |
Taxes are calculated on a consolidated basis and are not identifiable by Company segment. |
|
|
||
Non-GAAP Financial Information |
||
Reconciliation of the Three Months Ended |
||
(In thousands) |
||
|
Three Months Ended
|
|
|
Consolidated Total |
|
Estimated Net Earnings |
|
|
Income Tax Expense(1) |
14,949 - 12,949 |
|
Projected Earnings Before Income Tax Expense |
40,747 - 43,747 |
|
Interest Expense, Net |
8,027 - 9,027 |
|
Depreciation |
2,609 |
|
Amortization |
4,111 |
|
Projected EBITDA |
55,494 - 59,494 |
|
Stock-Based Compensation |
6,160 - 7,160 |
|
Projected Adjusted EBITDA |
|
|
(1) |
Taxes are calculated on a consolidated basis and are not identifiable by Company segment. |
|
|
||||||||
Reconciliation of Revised Full Year 2024 Outlook for Earnings Per Share |
||||||||
Assuming Dilution to Non-GAAP Earnings Per Share Assuming Dilution |
||||||||
|
Full Year 2024 |
|||||||
|
Low |
High |
||||||
Projected Earnings Per Share Assuming Dilution |
$ |
3.82 |
|
$ |
3.92 |
|
||
Add: Projected Intangible Amortization Expense |
|
0.41 |
|
|
0.41 |
|
||
Add: Projected Restructuring Expense & Cyber Incident Costs, Net of Insurance Recoveries |
|
0.48 |
|
|
0.48 |
|
||
Subtract: Tax Effect on Non-GAAP Adjustments(1) |
|
(0.23 |
) |
|
(0.23 |
) |
||
Subtract: Reversal of Uncertain Tax Position |
|
(1.18 |
) |
|
(1.18 |
) |
||
Projected Non-GAAP Earnings Per Share Assuming Dilution(2) |
$ |
3.30 |
|
$ |
3.40 |
|
||
(1) |
Adjustments are tax-effected using an assumed statutory tax rate of 26%. |
|
(2) |
In some cases, the sum of individual EPS amounts may not equal total non-GAAP EPS calculations due to rounding. |
|
|
||||||||
Reconciliation of Previously Revised Full Year 2024 Outlook for Earnings Per Share |
||||||||
Assuming Dilution to Non-GAAP Earnings Per Share Assuming Dilution |
||||||||
|
Full Year 2024 |
|||||||
|
Low |
High |
||||||
Projected Earnings Per Share Assuming Dilution |
$ |
2.52 |
|
$ |
2.68 |
|
||
Add: Projected Intangible Amortization Expense |
|
0.41 |
|
|
0.41 |
|
||
Add: Projected Interest on FTC Settlement Uncertain Tax Position |
|
0.07 |
|
|
0.07 |
|
||
Add: Projected Restructuring Expense & Cyber Incident Costs, Net of Insurance Recoveries |
|
0.48 |
|
|
0.48 |
|
||
Subtract: Tax Effect on Non-GAAP Adjustments(1) |
|
(0.23 |
) |
|
(0.23 |
) |
||
Projected Non-GAAP Earnings Per Share Assuming Dilution(2) |
$ |
3.25 |
|
$ |
3.40 |
|
||
(1) |
Adjustments are tax-effected using an assumed statutory tax rate of 26%. |
|
(2) |
In some cases, the sum of individual EPS amounts may not equal total non-GAAP EPS calculations due to rounding. |
|
|
||||||||
Reconciliation of the Three Months Ended |
||||||||
Assuming Dilution to Non-GAAP Earnings Per Share Assuming Dilution |
||||||||
|
Three Months Ended
|
|||||||
|
Low |
High |
||||||
Projected Earnings Per Share Assuming Dilution |
$ |
0.62 |
|
$ |
0.73 |
|
||
Add: Projected Intangible Amortization Expense |
|
0.09 |
|
|
0.09 |
|
||
Subtract: Tax Effect on Non-GAAP Adjustments(1) |
|
(0.02 |
) |
|
(0.02 |
) |
||
Projected Non-GAAP Earnings Per Share Assuming Dilution(2) |
$ |
0.70 |
|
$ |
0.80 |
|
||
(1) |
Adjustments are tax-effected using an assumed statutory tax rate of 26%. |
|
(2) |
In some cases, the sum of individual EPS amounts may not equal total non-GAAP EPS calculations due to rounding. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20241023706250/en/
Investor Contact
Vice President, Investor Relations
john.baugh@progleasing.com
Source: